According to a survey, the home buyers, who were earlier worried about the rapid rise in interest rates, got an official pardon this week as the rates curved in sharply, hitting their lowest level in the last two months.

This decline was due to the last week's announcement that the Federal Reserve would continue its massive economic stimulus program.

The Office of Inspector General (OIG) of the Federal Housing Finance Agency in Washington recently presented a report, which showed failure of Freddie Mac to refer almost 58,000 foreclosed mortgages to vendors.

As per the report, the vendors scrutinize the ability of borrowers to repay. Also, they are held responsible for collecting mortgage payments.

Homebuilder confidence has improved to reach the highest level in eight years. The NAHB/ Wells Fargo Housing Market Index has touched 59 in August from a low of 56 in July. The continued improvement in the sentiment has been helped by the rising house prices in many states across the country.

President Obama has said it is time for both this city's and the country's comeback from the housing chaos. He highlighted the importance of reducing the federal role and risk in the mortgage market on Tuesday. He said to take measures to not let the country go through the same kind of crisis ever again in the future.

As per recent reports, it has been revealed that there was a minor alteration in the mortgage rates. The borrowings costs were reported to be near to the record lows as a result of hike in the prices of homes in major US cities.

According to a statement produced by the Inspector General of the Federal Housing Finance Agency, it was found that the higher officials of bailed-out mortgage finance giants Fannie Mae and Freddie Mac were paid huge salaries without any written procedures of analysis.

Two major US companies Freddie Mac and Fannie Mae, who are known as giants in the mortgage & finance sector, is in good financial position at present and the Treasury Department has asked them for providing aid of $3.1 billion.